Micro Economics Assignment 2
With the aid of supply and demand diagrams, carefully explain:
a.Why the price of tomatoes fluctuates more than the price of tinned soup
b.how a substantial increase in labour productivity in the computer production industry might affect:
1-the price and output of computers
2- the price and output of scanners
c.The possible effects of price and output of coal when demand and supply decrease (i.e shift) over the same time period.
d.Why the prices of houses in the uk increased on average by 12% in 2000 even though the supply of houses increased by around 200000…
